Investing.com - The euro pared gains against the U.S. dollar on Tuesday, to trade nearly unchanged on the day, after data showing that U.S. retail sales rose for the first time in four months in July.
EUR/USD pulled back from 1.2384, the session high and the pair’s highest since August 9, to hit 1.2337 during U.S. morning trade, up just 0.04%.
The pair was likely to find support at 1.2260, Monday’s low and resistance at 1.2401, the high of August 8.
The U.S. Commerce Department said retail sales jumped 0.8% last month, after a 0.7% drop in June, surpassing expectations for a 0.3% increase.
Core retail sales, which exclude automobiles, rose 0.8%, more than the expected 0.4% increase, after a 0.8% decline in June.
A separate report showed that U.S. producer prices rose more-than-expected in July, adding 0.3%, against expectations for a 0.2% rise.
The euro rose to a session high against the greenback earlier, after data showing Germany’s economy expanded by 0.3% in the second quarter, slightly better than expectations for 0.2% growth, while France’s economy stagnated, beating expectations for a 0.1% contraction.
But the euro drifted lower after official data showed that the euro zone economy contracted by 0.2% in the three months to June, in line with expectations, bringing the annualized rate of contraction to 0.4%.
In addition, the ZEW Centre for Economic Research said that its index of German economic sentiment came in at minus 25.5 for August, the lowest level of 2012, down from July’s reading of minus 19.6 and defying expectations for a reading of minus 19.3.
Overall market sentiment continued to be underpinned by expectations that recent indications of a slowdown in global growth would prompt world central banks to implement more easing measures to spur the economic recovery.
The euro was little changed against the pound, with EUR/GBP inching up 0.04% to 0.7865 but was higher against the broadly weaker yen, with EUR/JPY advancing 0.71% to 97.25.
Also Tuesday, Greece successful completed it first government bond auction in two years, auctioning EUR4.06 billion of three-month bills.
EUR/USD pulled back from 1.2384, the session high and the pair’s highest since August 9, to hit 1.2337 during U.S. morning trade, up just 0.04%.
The pair was likely to find support at 1.2260, Monday’s low and resistance at 1.2401, the high of August 8.
The U.S. Commerce Department said retail sales jumped 0.8% last month, after a 0.7% drop in June, surpassing expectations for a 0.3% increase.
Core retail sales, which exclude automobiles, rose 0.8%, more than the expected 0.4% increase, after a 0.8% decline in June.
A separate report showed that U.S. producer prices rose more-than-expected in July, adding 0.3%, against expectations for a 0.2% rise.
The euro rose to a session high against the greenback earlier, after data showing Germany’s economy expanded by 0.3% in the second quarter, slightly better than expectations for 0.2% growth, while France’s economy stagnated, beating expectations for a 0.1% contraction.
But the euro drifted lower after official data showed that the euro zone economy contracted by 0.2% in the three months to June, in line with expectations, bringing the annualized rate of contraction to 0.4%.
In addition, the ZEW Centre for Economic Research said that its index of German economic sentiment came in at minus 25.5 for August, the lowest level of 2012, down from July’s reading of minus 19.6 and defying expectations for a reading of minus 19.3.
Overall market sentiment continued to be underpinned by expectations that recent indications of a slowdown in global growth would prompt world central banks to implement more easing measures to spur the economic recovery.
The euro was little changed against the pound, with EUR/GBP inching up 0.04% to 0.7865 but was higher against the broadly weaker yen, with EUR/JPY advancing 0.71% to 97.25.
Also Tuesday, Greece successful completed it first government bond auction in two years, auctioning EUR4.06 billion of three-month bills.